Good and creative practices in policy credit activities in Nam Dan

Strong growth mobilization

Over the years,Social Policy BankNam Dan is one of the solid supports for many poor and near-poor families and many other policy beneficiaries to escape poverty and stabilize the economy. To have capital for policy beneficiaries, the unit pays special attention to resource mobilization. In 2020 alone, the total mobilization was nearly 100 billion VND; in the first 6 months of the year, the balance was 109 billion VND, completing 114.3% of the yearly plan. If calculated for 6 months, it completed 228.6% of the plan.

Thanks to good propaganda work on all channels and through the entrustment of socio-political organizations, all people know about Nam Dan Social Policy Bank and especially since March 2021, the unit has coordinated with the District Women's Union to launch a movement to mobilize savings deposits with the title "Savings for the poor", mobilizing more than 3 billion VND in 3 months... In the first 6 months of 2021, the total outstanding debt is 407 billion VND, completing 100% of the outstanding debt for the year, achieving a growth rate of 10.37%, higher than the Resolution of the Representative Board and the Party Cell. Credit quality is always of concern to the unit, the overdue debt rate is currently only at 0.039%.

In addition, implementing Directive 40 of the Secretariat on strengthening the Party's leadership over policy credit, in 2020, Nam Dan district allocated 600 million VND from the budget to complete the plan of 500 million VND. In the first 6 months of 2021, the District People's Committee allocated 500 million VND, completing 100% of the yearly plan.

Sewing facility of Mr. Nguyen Van The, Hamlet 1, Nam Nghia Commune (Nam Dan). Photo: Thu Huyen

In addition to capital mobilization, Nam Dan Social Policy Bank is also concerned with outstanding loan growth and ensuring credit quality. Right from the beginning of the year, following the directives of the district, the unit coordinated with the Department of Labor, War Invalids and Social Affairs, directing the Chairmen of the People's Committees of communes and towns to investigate and survey, supplement multidimensional poor and near-poor households according to Circular 17/TT-BLDTBXH to provide a list of multidimensional poor and near-poor households to the Social Policy Bank in a timely manner for loan approval. With such responsible coordination, in the first 6 months of the year, the unit has successfully completed the annual outstanding loan growth target, achieving a growth rate of over 10%, while ensuring safe capital use and credit quality.

The mobilized capital continues to be invested in economic development loans to serve the goal of poverty reduction, focusing on programs for poor households, near-poor households, households escaping poverty, clean water and environmental sanitation in rural areas, and social housing loans, accounting for 95% of total loan turnover, with nearly 10,000 customers receiving loans.

Mr. Vuong Hong Thai - Vice Chairman of the District People's Committee, Head of the Board of Directors of Nam Dan Social Policy Bank

From loans from the Vietnam Bank for Social Policies, households in Nam Dan district have boldly invested and built many good production models that bring high economic efficiency. Photo: Thu Huyen

Good ways

To achieve the above results, Mr. Nguyen Sy Hai - Director of Nam Dan Social Policy Bank said: The specificity of our activities is that in addition to the system, there are also local Party committees and authorities at all levels, the participation of the entire political system from the Central to local levels in the activities.policy credit. From that advantage, we promptly advised the District People's Committee, the Head of the Board of Directors' Representative Board on documents directing the People's Committees of communes and towns in policy credit activities in the area. In particular, leaders from the district to the Chairman of the People's Committee of communes and towns are members of the Board of Directors' Representative Board, and are key members of units at all levels that need to be promoted, so through meetings, the unit has specifically analyzed each locality on policy credit activities so that the Head of the Board can grasp and direct the communes that still have problems to overcome, and the good communes to commend and reward.
Regarding the mobilization of market savings and savings through savings and credit groups, it is determined that it is impossible to follow market interest rates and compete with other commercial banks in the area; but with the advantage of the Social Policy Bank through the loan entrustment of socio-political organizations, having a network and a team of officers receiving extensive entrustment to the areas of blocks and hamlets, through that, propaganda work can be promoted. Depositing savings into the Social Policy Bank, in addition to enjoying interest rates prescribed by the Government, also joins hands to help poor households and other policy beneficiaries borrow capital to develop the economy and escape poverty in a sustainable way. And right at the regular meeting of district-level association organizations, in early March 2021, the unit coordinated with 4 district socio-political organizations to propose solutions to mobilize market savings deposits.

NHCS staff strictly follow the Ministry of Health's 5K recommendations on Covid-19 prevention during transactions. Photo: Thu Huyen

To effectively mobilize capital, the unit has coordinated with the District Women's Union to develop the project "Saving for the poor" through women's branches in blocks and hamlets to propagate to all people to join hands.deposit savingsinto the Social Policy Bank in the form of savings deposits at the commune transaction point, those with a lot deposit a lot, those with a little deposit a little to allow poor households and other policy beneficiaries to borrow capital, taking May 19 as the benchmark to summarize and report to Uncle Ho.

With that flexibility, after 3 months of implementation, the results achieved were beyond expectations. Thousands of customers have participated in depositing savings into Nam Dan Social Policy Bank at commune transaction points. The lowest person has 200 thousand VND, the highest person has hundreds of millions of VND with a total mobilized amount of nearly 4 billion VND, supplementing capital to help poor households and other policy beneficiaries access preferential capital from the Government to borrow capital to develop livestock production and escape poverty sustainably, contributing to the construction of new rural areas in the district. That work has had a widespread influence on all people, recognized by local Party committees and authorities, this model has now been replicated throughout the province, some other districts have also applied and promoted effectively. This is a good and creative and flexible solution in the management of bank leaders.

The complicated developments of the Covid-19 pandemic have significantly affected the operations of the Social Policy Bank. The nature of opening transaction points at the People's Committees of communes and towns means monthly transactions with many people, but with the dynamism and flexibility of the unit's leaders, in 2020, Nam Dan Social Policy Bank successfully completed its tasks and was awarded a Certificate of Merit by the Emulation Council and the Chairman of the Board of Directors - Central Social Policy Bank; in the first 6 months of the year, it successfully completed the assigned tasks and won the First Prize in the provincial emulation competition.

Thu Huyen